Company Mythology

Lecture 3
Introduction
 The word “mythology brings to mind stories of ancient gods and goddesses, such as in
Greek mythology, Roman mythology, and Japanese mythology.
 Myths are normally told by ethnic groups or nations and constitute the basis of the
perspective of the world that is shared by those ethnic groups or nations
 Companies, however, also have myths concerning the origins of their businesses and
founders, which are described in their company histories and websites.
 Myths are not simply defined as stories of gods and goddesses, and it is difficult to
distinguish myths from folktales and legends.
 Myths be defined as narratives in which the characters, settings, developments, and
endings defy logical understanding, both immediately and in the long term.
 Company mythology relates to contemporary narratives, its characters, settings,
developments, and endings are more concrete and clearer than in any ancient myths
and can be easily understood by staff members.
 By regarding company as a cultural community or livelihood community, statements
shared by the community members can be analyzed from the perspective of
mythology.
Uses
 Manages to explain things that cannot be explained in normal language
 Method of communicating images that cannot be sufficiently expressed through
ordinary language
 Myths are mysterious stories which convey supra-linguistic images.
 Communicates an abundant range of images
Examples
 Konosuke Matsushita (Founder of Panasonic), was called as “God of Management”
 Establish a religious facility, Kongensha, and an organization named the “Matsushita Institute of
Government and Management” to foster talented politicians
 The statements contained in the “Matsushita Konosuke myth” and the “National myth” (from the
former corporate name) or the image of the “god of management” may provide with perfect clues
for thinking about the nature of the company mythology.
 Now under “Panasonic myth” crowned with the new company name, what sort of fate will
Konosuke Matsushita as a god follow from now on? Will it be a revival of the myth or a
demythification? We anthropologists of administration cannot ignore such questions.
 In 1978, Konosuke stated that, "If we set our sights on material and spiritual abundance for our
citizens, we must also train teachers for the task." So he spent 7 billion yen from his private funds
to establish the Matsushita Institute of Government and Management, which opened in April 1980.
The purpose of the institute was to search for basic ideas that would contribute to the progress
and development of Japan in the 21st century, and develop leaders capable of making the ideas a
reality.
 The Matsushita Institute of Government and Management (MIGM) is a public interest incorporated
foundation that develops future leaders. It was established in 1979 by Konosuke Matsushita, the
founder of Panasonic Corporation, out of his strong resolve to realize peace and happiness in the
world through both material and spiritual prosperity.
Activity

 Search the story of Konosuke Matsushita as a ‘ God of Management ‘ and

explain in your own words the myth of two organizations in common
 1. Panasonic
 2. Matsushita Institute of Government and Management
Mythology in Companies
 A company is a functional group and interest community as well as a sort of culture community
and livelihood community.
 The former is the main premise in economics, while anthropology of administration has been
focusing on the latter.
 Anthropology has been interested in the fateful part which is distinct from profit-and-loss
calculation and scientific management. This is the reason why our research targets have been
company museums and company ceremonies.
 Anthropological methods such as participant observation and interviewing were used.
 The metaphor of “myth” is used to describe company stories.
 Emphasis is not on a company as an interest community, but as a livelihood community.
 It is common knowledge that human relationships exist in corporate organizations, apart from
functional relations. Weber’s bureaucracy theory points out that human relationships in a
bureaucracy are functional if the bureaucracy follows a rational design, but it is also known that
informal human relationships exist within the same structure.
Myths can be positive or negative
 It is common knowledge that human relationships exist in corporate organizations,
apart from functional relations. Weber’s bureaucracy theory points out that human
relationships in a bureaucracy are functional if the bureaucracy follows a rational
design, but it is also known that informal human relationships exist within the same
structure.
 Merton’s theory is that Weber’s rational design may fall into dysfunction as the
result of some members’ unexpected behaviors which are different from the
designer’s intention
 This dysfunction theory is based on the fact that the standard of rationality is
different between an organization and its members and that the members’ rational
behaviors cause irrationality for the organization.
 Separately from the rational design, the company mythology arises out of the
interplay within a group. Myths are characterized by their unfathomable mystery.
They cannot be rationally explained, but are not necessarily contradictory to the
rational design because they are naturally occurring statements resulting from the
interplay among participating members.
Where does the company mythology exist?
 Company’s history
 Its founder’s biography
 Novels about the business enterprise,
 Treatises on the company
 The company museum
 Holy places of the company
 TV commercials, and websites
 Workplace.
what shape or form does it have?
 Brand myth
 Success myth
 hero myth
 Myth of security.
Who are they created by?
 A founder
 Editing office of the company history
 Labor union,
 Professional writer
 Copywriter
 Researcher
Methods for Researching Company Mythology
 Think of some points of argument to research the company mythology.
1. The text of the myths
 Many myths have been orally passed down as episodes
 In some cases, only fragmented facts are spoken.
 Not easy to identify the text
 Some companies textualize their myths with a definite intention in the form od novel
 The novel consisted of a series of episodes that took place at the time of the founding. As the
company was a pioneer in the travel agency business, the novel presented examples of how to
locate management problems within the business and of behavioural guidelines for attending to
customers
 Information presented at the website becomes the text of the myth
 What makes the company mythology different from any ethnic mythologies is that the content
of the former is often deliberately edited to ensure legitimacy of the power of the community
Cont…
2. Company museums
 Company museums are the social meanings held by the industries to which the companies belong.
 Many messages deriving from the social nature of such industries displayed at the museums
 The messages provided by the museums are associated with the formation of company myths and can
be regarded as effective texts.
3. Interviewing
 Confirm that information is common in the community
 If the myths which form the basis of the organizational code are accepted together with the
organizational code, it seems to be possible to extract even orally transmitted myths if appropriate
interviewees are selected
Types of Myths
 There are three main types of company mythology
1. founding myth
 It explains not only the background of how a company was established, but also its founding concept
and legitimacy of power inside the organization
 clearly described in the background of how the company was founded.
 A myth is created through the handing down and explanation of why the company was established,
the purposes of the company, and the business vision of its founder as a leader.
2. hero legends or hero myths
 Include statements about individuals who made considerable achievements in the companies they
belong to.
 Hero legends are not limited to top-level executives
 When someone, regardless of occupation, makes a significant contribution to the company after its
establishment, the contribution is handed down in the organization to become a legend.
 Trickster
 A trickster is an ambiguous being that embodies contradicting values, such as good and evil, at the
same time. In some companies, accounts of those who greatly deviate from the organizational norms
are orally transmitted. This type is called a negative hero. A tradition called Akutarō (naughty boy)
legend.
Cont..
3. Brand myth
 When a company is engaged in production and its products themselves become a
defining presence within the company, not only specific individuals but the products
themselves may be made into a myth. This is the origin of a brand myth.
 The efforts to improve quality and to obtain a very good reputation from consumers will
lead to the creation of a myth.
 A brand was originally created when almost all products made in bulk had a certain
level of quality.
 Consequently, consumers do not have to check the quality of each individual item to
negotiate a price with distributers. They can trust and purchase the branded products
 So-called celebrity brands exist. Luxury brands exist not only in fashions, but also in
watches and bags, and their myths are formed differently from ordinary brand myths.